CPA-Resource Community

Scott Gregory

Our review of the QuickBooks chart of accounts is almost complete. We've worked through the assets, liabilities and equity sections so far. This post will provide insight on the income, cost of goods sold and expense sections of the chart. First, the income section - income is the money your business makes when you sell products or services to your customers. In many cases, there will be only one income account in the chart of accounts called "Income from Customers", and that is perfectly fine. Other businesses will have more than one account, with each one providing more insight into where the revenue from the business is coming from. For example, it might list "Income from Products", "Income from Labor", and "Income from Warranties" or something similar.